How does the Panama Friendly Nations Visa work and am I eligible?

The Panama Friendly Nations Visa is one of the world's most accessible residency programs, designed for citizens of 50+ countries that Panama considers "friendly." Here's everything you need to know:

Eligibility - Are You From a Friendly Nation?

You're eligible if you're a citizen of any of these countries (partial list of most common):

Americas: United States, Canada, Mexico, Argentina, Brazil, Chile, Costa Rica, Uruguay

Europe: All 27 EU countries, United Kingdom, Switzerland, Norway

Asia-Pacific: Australia, New Zealand, Japan, South Korea, Singapore, Israel

[Full list available on Panama immigration website - 50+ countries total]

Core Requirements

To qualify, you need:

1. Citizenship from a friendly nation (passport required)
2. Panama bank account with minimum $5,000 deposit
3. Economic ties to Panama - Choose ONE:

• Employment with Panama company (or intention to be employed)
• Formation of Panama company (can be just you)
• Real estate investment of $200,000+

The Economic Ties Explained

Most applicants choose one of these paths:

Option A - Employment ($5,000 route):

• Get offer letter from Panama employer OR
• Form your own Panama company and "employ" yourself
• This is the $5,000 minimum route (just the bank deposit needed)
• Most flexible and affordable option

Option B - Real Estate ($200,000 route):

• Purchase titled property worth $200,000+
• Can be residential or commercial
• Can rent it out for income
• Property serves as economic tie without needing employment
• Total investment: $200,000 property + fees (no separate $5,000 deposit required)

Option C - Business Formation:

• Create Panama corporation
• Can be simple one-person company
• Shows intent to do business in Panama
• Costs about $1,500-2,500 to set up company
• Plus the $5,000 bank deposit

The Process Timeline

Phase 1 - Provisional Residency (First 2 Years):

1. Hire licensed Panama attorney (required by law)
2. Attorney helps open bank account and deposit $5,000
3. Establish economic ties (employment/business/property)
4. Gather documents: passport, criminal background check (apostilled), health certificate, birth certificate, marriage certificate if applicable
5. Attorney files application with Panama Immigration
6. Processing: 3-6 months typically
7. Receive 2-year provisional residency card

Phase 2 - Permanent Residency (After 2 Years):

1. After 2 years, apply to convert to permanent residency
2. Must prove you maintained economic ties
3. Must show you've been in Panama (no strict time requirement but some presence expected)
4. Processing: 2-4 months
5. Receive permanent residency card

Costs Breakdown

Over the full process (2+ years):

• Attorney fees: $4,000-6,000 (varies by firm)
• Government fees: $2,000-3,000
• Bank deposit: $5,000 (you keep this, not a fee)
• Company formation: $1,500-2,500 (if going that route)
• Document preparation: $500-1,000 (apostilles, translations, etc)

Total: $8,000-12,000 (not including the $5,000 deposit which remains yours)

What You Get

Provisional Residency (Years 1-2):

• Legal residency in Panama
• Work authorization
• Can travel in/out freely
• Panama ID card (cédula)
• Can open bank accounts easily
• Can buy property at resident rates

Permanent Residency (Year 3+):

• All above benefits
• No need to renew (permanent)
• After 5 years permanent residency, eligible for citizenship

Family Members

You can include:

• Spouse
• Children under 18 (or under 25 if students)
• Parents over certain age
• Each dependent adds cost (~$1,000-1,500 per person)

Common Questions

Do I need to live in Panama full-time?

No minimum stay requirement during provisional period, but showing some presence helps permanent residency conversion. Many spend 3-6 months per year.

Can I work?

Yes, you have full work authorization from the start.

Is the $5,000 deposit locked?

No, it's your money in your account. Must maintain minimum balance during process but can use it after.

How long does the whole process take?

• Provisional residency: 3-6 months
• Living with provisional: 2 years
• Permanent residency: 2-4 months to process
• Total: About 2.5-3 years to permanent residency

Do I need to visit Panama to apply?

Yes, must be present for certain steps (fingerprints, photos, signing documents). Plan for 2-3 short trips during the process.

2026 Update

The program remains active and popular with approximately 3,000-4,000 approvals annually. Processing times have improved slightly from peak COVID delays. No major changes expected in 2026.

The Friendly Nations Visa is widely considered one of the world's best residency programs due to its accessibility, affordability, and quick path to permanent residency.